Affiliated Distributors announced Tuesday that it has reached an agreement to merge with plumbing, waterworks and HVAC buying group the Commonwealth Group.
The deal, which was unanimously approved by the boards of each buying group, would create an organization with 325 independent U.S. plumbing, heating, cooling and piping distributors among its more than 1,000 members across North America.
AD plans to overhaul its Plumbing and HVAC division boards and vendor committees to allow for equal representation between both buying groups. AD will also add representatives from both groups and the Commonwealth Group’s Waterworks division to its PVF and Decorative Brand divisions.
The deal is expected to close later this year, subject to approval by Commonwealth Group shareholders.
“This will be AD’s 17th merger and our 6th within the PHCP industry,” AD Chairman and CEO Bill Weisberg said in a statement. “These mergers have given us the scale to cost-effectively develop and fund value-added programs and services which help our members and suppliers grow, while enhancing our collective importance to suppliers as valued business partners.”
